Moist entropy is nearly conserved in adiabatic motion. It is redistributed rather than created by moist convection. Thus moist entropy and its equation, as a healthy direction, can be used to construct analytical and numerical models for the interaction between tropical convective clouds and large-scale circulations. Hence, an accurate equation of moist entropy is needed for the analysis and modeling of atmospheric convective clouds. On the basis of the consistency between the energy and the entropy equations, a complete equation of moist entropy is derived from the energy equation. The equation expresses explicitly the internal and external sources of moist entropy, including those in relation to the microphysics of clouds and precipitation. In addition, an accurate formula for the surface flux of moist entropy from the underlying surface into the air above is derived. Because moist entropy deals "easily" with the transition among three water phases, it will be used as a prognostic variable in the next generation of cloud-resolving models (e. g. a global cloud-resolving model) for low computational noise. Its equation that is derived in this paper is accurate and complete, providing a theoretical basis for using moist entropy as a prognostic variable in the long-term modeling of clouds and large-scale circulations.